Nigeria, April 19 -- The Federal Ministry of Finance has rejected claims that Nigeria's federation revenues are being diverted or hidden, describing recent interpretations of a World Bank report as misleading and inaccurate.

In a statement issued on Sunday, the Minister of State for Finance, Taiwo Oyedele, said media reports suggesting large-scale diversion of funds stem from a misunderstanding of the country's fiscal structure.

The controversy follows the latest Nigeria Development Update by the World Bank, which some commentators interpreted as indicating "hidden spending" within government finances.

The ministry, however, said such claims misrepresent the report's findings.

It clarified that deductions from the Federation Account A...